basic economics - 2512 Words

ASSIGNMENT 1 DIPECO03 Basic Economics Question 1 Flow of Goods and Services Flow of Cash EXAMPLES OF TRANSACTIONS ON MARKET FOR GOODS AND SERVICES Question 1(a) and 1(c) EXAMPLES OF TRANSACTIONS ON MARKET FOR FACTOR OF PRODUCTION Question 1(b) and 1(d) Question 2 Consider the market for minivans. For each of the events listed here, identify which of the determinants of demand or supply are affected. Also indicate whether demand or supply increases or decreases. Then draw a diagram to show the effect on the price and quantity of minivans. An example of a supply demand graph (a)People decide to have†¦show more content†¦How does it influence the shapes of cost of production curves? Costs of production are divided into two types of costs: 1) Fixed cost - Costs that do not vary with the quantity of product produced. 2) Variable cost – Costs that vary with the quantity of product produced. The Law of Diminishing Return is an economic law stating that if one input of the production is increased while all other inputs remained constant, a point will eventually be reached at which additions of the input yield progressively smaller, or diminishing, increases in output. If theShow MoreRelatedEconomics : Basic Economic Concepts Essay3027 Words   |  13 Pages Economics a Social Science Basic Economic Concept Jordan Mcdowell Civics K.David 5 December 2016 . Economics a Social Science Basic Economic Concept Scarcity Supply and Demand Utility Measurement of Economic Performance Gross domestic product (GDP) National Income and Price Determination Stabilization Policies Demand management policy Fiscal policy Monetary Policy Economic Growth Open Economy: International Trade and Finance To understand economics, oneRead MoreBasic Economic Questions3060 Words   |  13 PagesEconomics questions Top of Form [pic][pic][pic] 1. Scarcity: [pic]A) exists because resources are unlimited while human wants are limited. [pic]B) means we are unable to have as much as we would like to have. [pic]C) will likely be eliminated as technology continues to expand. [pic]D) is not an issue addressed in economics. 2. Which of the following is true of resources? [pic]A) Resources are inputs used to produce goods and services. [pic]B) Labor is the mental and physical capacityRead MoreBasics of Economics Essay2784 Words   |  12 PagesNaked Economics: Undressing the Dismal Science ( AP economics summer assignment ) Sora Kim 265543801 Mr. Kotzky 1a. â€Å"Individuals seek to maximize their own utility.† Explain this basic economic principle. b. Discuss several of the conflicts / choices, as discussed by Wheelan, that individuals may face in trying to maximize their utility. Economists would basically do whatever it takes to gain privileges or derive utility. For example, they would pay taxes or get a doctor’s shot. DoingRead MoreThe Basic Economic Problem Is Scarcity1472 Words   |  6 PagesTopic2: Question No.1 The basic economic problem is scarcity. It occurs when people want infinite but resources are limited. Scarcity is due to limited resources because people want more and more. Resources are shortage and have alternative uses. There are three causes of construction such as land, labour and capital. Scarcity is the excess of human wants over what can basically be produced . The central economic problem effects on command economy. Command economy is a economy in which GovernmentRead MoreRationality Is The Basic Assumption For Many Economics Theory1107 Words   |  5 PagesRationality is the basic assumption for many economics theory and often implies that people prefer choices that give them a higher payoff regardless of their impact. In many real-life situations, however, the prediction that people are selfish does not always hold. People often behave in unselfish ways, they give to charities and often prefer outcomes that leave everyone better off. In their paper â€Å"What Makes an Allocation Fair? Some Experimental Evidence† published in April 2002, James AndreoniRead MoreBasic Economic Paradigms : Exchange And Production Paradigms1435 Words   |  6 PagesScarcity shows us the basic economic problem, where humans have unlimited wants, yet there are only finite amount of resources. Therefore, there are not enough resources to fulfill these unlimited needs. One real world example of a scarce resource is coal. Coal is a resource used for fossil fuel and is a combustible rock. Coal is used for â€Å"electricity generation, steel production, cement manufacturing and as a liquid fuel†. As you can see there are many uses for coal, thus there will be companiesRead MoreBasic Economic Concepts : Absolute And Comparative Advantage Essay2016 Words   |  9 PagesBasic Economic Concepts Absolute and Comparative Advantage Absolute Advantage is the comparison of productivity of a person, company, or nation to another person, company, or nation and the ability to produce with fewer inputs (what is used to make the product) than another producer. Comparative Advantage is the opportunity costs (what must be given up to obtain an item) between two producers and the ability to produce at lower opportunity costs than another producer. Absolute Advantage can beRead MoreThe Basic Economics of Organic versus Non-Organic Foods 666 Words   |  3 Pagessell organic foods. Using the Mayo Clinic as a reference, I have developed the following opinion on organic foods that takes into account the financial aspects as well as the health ramifications of eating or not eating organic foods. The basic economics of Organic versus Non-Organic foods are as follows: Non-Organic These foods are grown using fertilizers, herbicides and pesticide use, and may or may not be a genetically altered plant that grows at a rate many times that of a regular plantRead MoreGovernment s Trade Protection As A Basic Economic And Trade Policy1383 Words   |  6 PagesIntroduction: Trade protection is a basic economic and trade policy which is based on national benefits, domestic firms and economic situation. Trade protection is designed to protect domestic firms and limit other countries’ business development in all over the world. Trade protections’ measures are set up to enhance own nation’s economic and to prevent other nations’ economical aggression. Although there is always free trade during international trade, which makes the biggest benefits of freeRead MoreComparison of Basic Economic Indicators of Bric Nations4949 Words   |  20 PagesComparison of Basic Economic Indicators of BRIC Nations Abstract In economics, BRIC is a grouping acronym that refers to the countries of Brazil, Russia, India and China, which are all deemed to be at a similar stage of newly advanced economic development. It is typically rendered as the BRICs or the BRIC countries or the BRIC economies or alternatively as the Big Four. Table of Content 1. Introduction 4 2. Statistics 5 3. Economic Indicators 6 3.1 GDP 6 3.2 Inflation 7 3.3 Deficits